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Photorealistic image of business executives in a boardroom holding a meeting around a conference table.

Photorealistic image of business executives in a boardroom holding a meeting around a conference table.

In May, representatives for various studios and production companies gathered at a Los Angeles law firm for an auction held by Village Roadshow, one of the most prolific behind-the-scenes financiers in Hollywood. It had filed for bankruptcy earlier this year and its vast film library and studio business were up for sale. Warner Bros., which had a longtime partnership with Village Roadshow that soured in recent years, had execs among the attendees. They were interested not so much in the library, which generates roughly $50 million annually, but something called “derivative rights” that give the owner the opportunity to participate in certain sequels and remakes. Those rights have emerged as something of a headache for WBD, with the studio refusing to develop titles in which Village Roadshow was a cofinancier. That contributed to the legal blowup over The Matrix Resurrections when Warners released the movie on HBO Max the same day it hit theaters in December 2021 during the height of the COVID era. During the auction, WBD set the baseline price for the derivative rights. It bid through 10 rounds but Alcon kept pushing the price higher until the studio’s representatives hit the ceiling on what they were allowed to offer. Alcon emerged the winner, purchasing the rights for $18.5 million. Eventually, WBD would come to regret the decision. Last month, on the eve of a hearing over objections to the sale, it submitted a revised offer for $19.5 million. Although Village Roadshow Ver más